DocGo NASDAQ: DCGO reported first-quarter revenue of $75.6 million and an adjusted EBITDA loss of $10.2 million, as executives pointed to accelerating demand in virtual care, medical transportation and mobile health services while acknowledging pressure from fuel costs and labor-related investments.
The company raised its 2026 revenue outlook to a range of $300 million to $315 million, while keeping its full-year adjusted EBITDA guidance unchanged at a loss of $5 million to $10 million. Chief Executive Officer Lee Bienstock said the higher revenue forecast reflects stronger-than-expected performance across several business lines, led by virtual care platform SteadyMD.
Chief Financial Officer Norman Rosenberg said first-quarter revenue declined from $96 million in the year-ago period, but attributed the drop entirely to the wind down of migrant-related projects. Excluding migrant-related revenues, revenue increased 24% year over year, he said. Excluding both migrant-related revenue in the prior-year period and SteadyMD revenue in the current period, revenue rose about 8%.
SteadyMD Drives Revenue Momentum
Bienstock said SteadyMD generated more than $9 million in revenue during the quarter, with Rosenberg later specifying $9.5 million. The business completed approximately 1.1 million virtual visits and lab orders in the period, up 38% from last year, according to Bienstock.
The CEO said SteadyMD recently signed a new contract with a leading online pharmacy to provide virtual care services for weight loss prescriptions and broader general clinical services. In response to an analyst question, Bienstock said the company is working with pharmacies offering branded weight-loss medications and charges a per-visit rate rather than participating in revenue sharing.
Bienstock said growth is coming from both existing customers and new logos, including online pharmacies, digital health companies, wellness companies, digital wearable companies and labs. Rosenberg said roughly $8 million to $9 million of the increase in the company’s full-year revenue guidance was related to SteadyMD.
Rosenberg said SteadyMD’s first-quarter pace implies a roughly $36 million annual run rate, though he noted the business typically sees higher volume in the first and fourth quarters. Bienstock said the company expects SteadyMD to contribute roughly $35 million to $36 million for the year in its projections.
Transportation Reaches Record Revenue
Medical transportation revenue rose to $51.9 million in the first quarter from $50.8 million a year earlier, which Rosenberg said represented the highest quarterly transport revenue in DocGo’s history. He cited growth in large and small U.S. markets, including New York, Texas and Tennessee.
Bienstock said DocGo renewed a contract with a major New York hospital system for one year and renewed another contract with a major New York health system for two years while adding Staten Island facilities. The company also signed new transportation agreements with a long-term acute care hospital in Chattanooga, Tennessee, several hospice facilities in Wisconsin and the Great Western Hospitals NHS Foundation Trust in the United Kingdom.
Executives said the transportation business is benefiting from improved field staffing. Rosenberg said the company had previously identified demand that it could not fulfill because of staffing constraints, and that adding field labor translated into higher volume.
Mobile Health Expands Beyond Migrant Projects
Mobile health revenue was $23.6 million, down from $45.2 million in the first quarter of 2025 because of the migrant project wind down. Rosenberg said non-migrant mobile health revenue more than doubled, aided by care gap closure, remote patient monitoring, mobile phlebotomy and the inclusion of SteadyMD. Excluding SteadyMD, mobile health revenue rose about 38% year over year.
Bienstock said the company’s mobile phlebotomy business is now projected to grow as much as 75% in 2026, above prior expectations. DocGo expects home visits to rise from about 600 per day currently to 900 per day by the end of the year. The company has opened new territories in Upstate New York and Pennsylvania and plans to launch services in Florida.
In care gap closure and primary care services, Bienstock said DocGo has surpassed 1.6 million lives assigned since inception and increased completed visits 46% year over year. The company’s primary care and longitudinal care panel now includes more than 1,000 patients, most of whom were enrolled in the first quarter. Bienstock said the goal is for that business line to break even in late 2026.
During the question-and-answer portion, Bienstock said health plans continue to use DocGo for care gap closure among patients who are “falling through the cracks” or unattached to care. He said 60% of patients visited in their homes had two or more chronic conditions, 20% had social needs or risks affecting health outcomes, and 42% had chronic conditions that had not previously been documented. He also said the company remains on pace to add two to four new payer logos in the first half of the year.
Margins Pressured by Fuel and Hiring
DocGo’s adjusted gross margin was 31.6% in the first quarter, compared with 32.1% a year earlier. Rosenberg said that excluding migrant revenue and SteadyMD from the comparable periods, adjusted gross margin for the underlying business would have been 31.9%, up from 30.4% in the prior-year quarter.
Bienstock said SteadyMD’s rapid growth created labor inefficiencies, requiring higher incentives for current clinicians while the company worked to close a hiring gap. He said that reduced consolidated gross margin by about 60 basis points. DocGo increased SteadyMD’s clinical workforce by more than 45% during the quarter, and Bienstock said the issue has already corrected so far in the second quarter.
Fuel costs also weighed on margins. Bienstock said DocGo’s average fuel price in March was $3.69 per gallon, compared with $2.93 in January and February, and estimated that each $1 increase at the pump costs the company about 35 basis points of consolidated gross margin. Rosenberg said fuel was running at about $4 per gallon at the time of the call and could pressure second-quarter margins.
Operating expenses were also higher than expected, which Rosenberg attributed to hiring, onboarding and training mobile health clinical staff, as well as delays in realizing cost savings from vendor and corporate headcount reductions. Bienstock said adjusted operating expenses, excluding depreciation, stock-based compensation and other non-recurring items, declined from $35.7 million in the fourth quarter of 2025 to $34.1 million in the first quarter. Rosenberg said the full benefit of cost-cutting actions is expected to be seen mostly by the third quarter.
Cash, Receivables and Strategic Review
DocGo ended the quarter with $59.9 million in cash, cash equivalents, restricted cash and investments, down from $68.3 million at the end of 2025. Rosenberg said the quarter-end balance was lower than expected because of delayed collection of migrant-related accounts receivable from New York City’s Department of Housing Preservation and Development. The company received approximately $8 million on April 1 and is working to collect roughly $13 million remaining from that agency.
Rosenberg said cash may decline further in the near term because of operating losses in the second quarter and working capital needs tied to growth initiatives. He said any working capital pressure is expected to ease in the second half of the year in line with the company’s planned return to profitability.
Bienstock also said DocGo’s previously announced strategic alternatives review remains ongoing. He said there is no assurance the process will result in any transaction or strategic outcome, and that the company will share further developments as appropriate.
About DocGo NASDAQ: DCGO
DocGo, Inc is a U.S.-based integrated healthcare company that delivers on-demand and mobile healthcare services. The company’s business model centers on deploying customized medical clinics paired with a digital care platform to bring primary and acute care directly to patients. Through a combination of telemedicine and over-the-road medical units, DocGo addresses routine medical exams, chronic disease management, occupational health screenings, specialist consultations and urgent care interventions.
In addition to its mobile clinic fleet, DocGo’s digital platform offers 24/7 virtual care, facilitating remote consultations via video, phone or secure messaging.
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